It is the best strategy for traders who do not prefer to trade in small time frames because it will give you 24 hrs opportunities to find a trade especially with the usd vs jpy chart.  Since the JPY is active after the main currency pairs slow down in trading volume.

Timeframes :  only on the hourly chart.

Currency Pairs : You can use only on trading USD/JPY

Trade only during the Asian trading session – 23.00 to 8.00 GMT

Trading Rules :

• Wait until the first hour candlestick of the Asian Trading Session to close on the USD/JPY currency pair.
• Place 2 separate pending orders – sell stop and buy stop order on both sides exactly at 2 pips from the low and high respectively.
• Keep Stop loss at the distance from high to low of that 1-hour candlestick plus 2 pips.
• When one pending order is activated, cancel the other one immediately.
• Should aim for a target of 1.5 times.

Short Entry :

Suppose your sell stop placed at 107.06 which is 2 pips lower than the low 107.08 gets hit, cancel the buy stop order, In this case, keep your stop loss at 107.15 which is 2 pips higher than the high of that 1-hour candlestick and set target at 1.5 times i.e. at 106.92.

Chart view :

Long Entry :

Suppose your buy stop placed at 107.11 which is 2 pips higher than the high 107.09 gets hit, cancel the sell stop order, In this case, keep your stop loss at 106.97 which is 2 pips less than the low of that 1-hour candlestick and set target at 1.5 times i.e. at 107.32.                            

Chart view :

Pros :

• Simple and easy to understand and follow.
• Minimizes your trade as you can only trade once a day.
• One time frame.
• One currency pair.
• Easy for the traders who work at day time.

Cons :

• Asian trading session is sometimes a grind which can cause an almost instant trigger in and trigger out of the trade.
• No strategies are 100% full proof.  Money management is vital with this strategy just like it is with any other.

The key is to be consistent with trading the 1-hour trading strategy and that also means to stick with trading USD/JPY as many of the other crosses simply range during the Asian session.